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Special Saving Tools
These are special accounts or programs that help you save. Some are for special purposes, and some will pay you more than regular savings.
Individual Development Account (IDA) program
-- Louisiana Department of Social Services
IDAs are special accounts to help you save for a house.
Eligibility:
- Have source of earned income
- At least 1 child under 18 at home
- At or below twice the federal poverty level
Program Steps:
- Attend orientation classes
- Start a savings plan and deposit at least $25 a month in the IDA
- Attend financial literacy classes
- You will get coaching, counseling and progress tracking.
- Continue saving until you have $1000 in the IDA
When you have finished these steps, the State of Louisiana will give you $4000 to add to the $1000 you saved to use for buying a home.
More Details from the Louisiana Asset Building Initiative
United Way IDAs
START Saving Program
-- Louisiana’s 529 College Saving Plan
This is a special account to save for your child’s college costs. By starting early, regular deposits as low as $25 a month can pay for college.
Earning Enhancement
- The state will add up to 14% each year to your deposits.
- The rate is determined by your income.
Gross Income Rate
$0 - $29,999
$30,000 - $44,999
$45,000 - $59,999
$60,000 - $74,999
$75,000 - $99,999
$100,000 and above |
Rate
14%
12%
9%
6%
4%
2%
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Tax Savings
- Deposits are deductible from LA state income tax, $2400/year for singles and $4800/year for married couples.
- Earnings are not taxed, state or federal, when you use them for college.
Several Investment Options.
More Details from the Louisana Office of Student Financial Assistance (LOFSA)
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